House prices surge beside the seaside

House prices in British seaside towns have increased by an average £440 every month for the last decade, new figures show.

Prices have increased by a third since 2006, according to the annual Halifax Seaside Town Review.

This showed average house prices have grown from £166,565 in 2006 to £219,386 in 2016.

Scottish seaside towns dominate the list of areas with the greatest price growth, with seven of the top 10 located in Aberdeenshire, driven by growth in the oil and gas sector until recently.

Fraserburgh has seen the greatest house price growth with a rise of 139%, from £63,540 to £151,719 in 2016, equivalent to a monthly increase of £735.

Prices in Macduff doubled £133,567, with prices in Peterhead, Cove Bay and Newtonhill all rising more than 90%.

Brighton recorded the greatest increase in value outside of Scotland, jumping 59% from £214,863 to £341,235 over the decade.

Other seaside towns in England with the best price performance include Whitstable in Kent (53%), Shoreham on Sea in West Sussex (53%), Leigh on Sea in Essex (52%) and Truro in Cornwall (50%).

Nine of the 10 most expensive seaside towns in Britain are on the South coast – with eight in the South West. The most expensive seaside town is Sandbanks in Poole, where the average house price is £664,655.

It knocks Salcombe off the top spot, a position the south Devon town has enjoyed since 2010.

Other most expensive seaside towns in the South West include Padstow (£443,396), Dartmouth (£401,361) and Fowey (£379,003).

Aldeburgh in Suffolk (£439,379) and Lymington in Hampshire (£426,112) are the most expensive seaside towns outside the South West.

Martin Ellis, housing economist at Halifax, said: "Seaside towns are highly popular places to live, offering sought-after scenery, weather and lifestyle, which no doubt come at a price.

“They also attract those looking for holiday properties, which adds upward pressure on house prices.”